Work

The Economic Benefits of Reducing Racial Disparities in Health: The Case of Minnesota

Year: 2019

Type: article

Abstract: This paper estimates the benefits of eliminating racial disparities in mortality rates and work weeks lost due to illness. Using data from the American Community Survey (2005⁻2007) and Minnesota vital statistics (2011⁻2015), we explore economic methodologies for estimating the costs of health disparities. The data reveal large racial disparities in both mortality and labor market non-participation arising from preventable diseases and illnesses. Estimates show that if racial disparities in preventable deaths were eliminated, the annualized number of lives saved ranges from 475 to 812, which translates into $1.2 billion to $2.9 billion per year in economic savings (in 2017 medical care inflation-adjusted dollars). After eliminating the unexplained racial disparities in labor market participation, an additional 4,217 to 9185 Minnesota residents would have worked each year, which equals $247.43 million to $538.85 million in yearly net benefits to Minnesota.

Source: International Journal of Environmental Research and Public Health

DOI: 10.3390/ijerph16050742

Authors: Marilyn S. Nanney, Samuel L. Myers, Man Xu, Kateryna Kent, Thomas Durfee, Michele L. Allen

Institution: University of Minnesota

Language: English

Topic: Health disparities and outcomes

Subfield: Health

Field: Social Sciences

Domain: Social Sciences

SDGs: Reduced inequalities, Good health and well-being, Decent work and economic growth

Open Access status: gold

Estimated APC paid: $1,824